Filing Flows › Varonis Systems (VRNS) › Q3 2025
Varonis Systems (VRNS) Q3 2025 earnings results (third quarter 2025)
10-Q filed Oct 29, 2025
Varonis Systems (VRNS) reported revenue of $162M for the third quarter 2025 (Q3 2025), +9% from a year earlier and +6% from the quarter before. Operating margin was -22.2%, net loss $29.9M (18.5% of revenue).
Varonis Systems, Q3 2025: revenue $162M (+9% year over year), operating margin -22.2%, net loss $29.9M, operating cash flow $33.4M. The chart follows the revenue to costs, profit and cash.
| Q3 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $162M | +6% | +9% |
| Operating profit | −$35.9M | — | — |
| Net earnings | −$29.9M | — | — |
| Operating cash flow | $33.4M | +56% | +49% |
| Free cash flow | $30.4M | +69% | +43% |
What changed
Revenue was $161.6M in Q3 2025, up 9% year over year and up 6% from the previous quarter. SaaS was the largest line at 78% of revenue. SaaS added $68.0M year over year (up 118%), 504% of the total change. Term license subscriptions declined 64%.
Gross margin was 78.2%, down 5.5 points from a year earlier. Operating costs exceeded revenue by $35.9M, an operating margin of -22.2%. Operating expenses grew 10% against revenue growth of 9%. The fastest-growing cost line was Research & development (+17%). The quarter ended with a net loss of $29.9M, narrower than the previous quarter's $35.8M loss. Non-operating items added $7.8M, -28% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was $33.4M (up 49% year over year). Non-cash charges added back $3.0M of depreciation and amortization and $31.6M of share-based compensation. Working capital and other items added $28.8M. Capital expenditures of $3.0M left free cash flow of $30.4M.
Questions
What was Varonis Systems' revenue in the third quarter 2025?
Varonis Systems (VRNS) reported revenue of $162M for the third quarter 2025 (Q3 2025), +9% from a year earlier and +6% from the quarter before.
Was Varonis Systems profitable in the third quarter 2025?
Operating loss was $35.9M (-22.2% of revenue) and net loss $29.9M.
Source: Varonis Systems 10-Q on SEC EDGAR.